What is Auto Insurance?
Auto insurance is a contract between you and your insurance company that protects you against financial loss, in case of an accident. You agree to pay the premium and the insurance company agrees to pay losses, as defined in your policy. 
 

• Auto insurance provides property, liability, and medical coverage:
  1. Property coverage pays for damages to, or the theft of, your car.
  2. Liability coverage pays for your legal responsibility to others for bodily injury or property damage.
  3. Medical coverage pays for the cost of treating injuries and rehabilitation.
• An auto insurance policy is comprised of six different kinds of coverage. Most states require you to buy some, but not all, of these coverage. If you’re financing a car, your lender may also have requirements.
• Most auto policies are for six months to a year. Your insurance company should notify you by mail when it is time to renew the policy and to pay your premium.

What is home insurance?

Homeowners’ insurance provides financial protection against disasters. A standard policy insures the home itself and the things you keep in it.  Homeowners insurance is a package policy. This means that it covers both damages to your property and your liability, or legal responsibility, for any injuries and property damages you, or members of your family, cause to others. This also includes damage caused by household pets. Damage caused by most disasters is covered, but there are exceptions. The most significant is the damage caused by floods, earthquakes, and poor maintenance. You must buy two separate policies for flood and earthquake coverage. Maintenance-related problems are the homeowner’s responsibility. 

What is included in a standard home insurance policy?
A standard homeowner’s insurance policy includes four types of coverage:
 

• Coverage for the structure of your home
• Coverage for your personal belongings
• Liability protection
• Additional living expenses in the event you are temporarily unable to live in your home because of a fire or other insured disaster.